Before getting into the different ERP Implementations’ approaches and Agile methodology, let us take a step back and understand the importance and challenges of ERP implementation for any business.
Importance of ERP
Effective Enterprise Resources Planning (ERP) solutions can smoothen the business processes, streamline complex functions and also accelerate the overall business growth.
While businesses are continuously competing to provide effective solutions and enhance customer experience; ERP solutions are making it possible for organisations to achieve that, across several functions and business units.
So now we understand the importance, lets take a look at what are the challenges faced by businesses when it comes to implementing ERP?
Approximately 50% of the ERP implementations fail!
The main factors involve:
- Unrealistic Goal planning, unclear business goals/ objectives
- Fear of change and communication gaps.
While cost and time being the most important challenge, when a business thinks about ERP implementation, businesses also need to be clear about what they want to achieve from the solution as an outcome focused on business enablement not the technical solution.
Once the ERP solution has been selected, the business also needs to understand which approach they want to move ahead with i.e. Waterfall or Agile.[actionbox wide=”false” title=”Interested in understanding which implementation approach to adopt?” url=”https://lagomgroup.co.nz/contact-us/”
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As the name suggests, Waterfall is a linear process which smoothly flows into next step like a water flowing in a waterfall. Previously, it was the only standard approach to implement projects and solutions. It provides a systematic approach and certain steps are mandatory in every ERP implementation.
Agile methodology has become more and more popular in the recent times. Being known in the early 2000’s, many businesses are getting into the bandwagon of becoming an Agile organisation. The intent of this methodology is to reduce the time to market and innovate continuously.
While Agile has also become preferred choice for many businesses to implement ERP solutions. This approach focuses on dividing the project plans into short intervals called sprints and ensuring the testing of the project with necessary corrections at the end of each one of them. With the previous approach, it used to be difficult as testing used to occur after the development of complete project.
Another advantage of this approach is that it allows project teams to quickly remediate issues. As well as it helps the team to respond changes in the project requirements and progress. These advantages make it more suitable for dynamic environment and businesses that are always on the go.
While it may look that agile is the perfect solution and everything is pretty, but that is not the case. Like every other approach it has its limitations too. Agile methodology may not be suitable for every organisation. Businesses may run into resource availability and planning issues. Issues like these lead up to cause time-delays.
Over the years Lagom has helped businesses to understand their requirements and then carefully assess which approach to go ahead with. We not only focus on just the approach; we support our customers across each step. Not every business is same, and each ERP brings along its own complexities. But nothing is impossible!
Agile’s popularity has risen enormously and it will be considered by majority of the businesses in the upcoming years.
It has truly transformed old-school implementations![infobanner title=”Having trouble in assessment? We can help you with your implementation assessment.” url=”https://lagomgroup.co.nz/contact-us/” target=”” buttontext=”Contact Us” ][/infobanner]